Trading is the act of buying and selling assets—such as stocks, currencies, or cryptocurrencies—with the goal of making a profit.
Here’s a simple breakdown:
Buy low, sell high: Traders try to buy an asset when its price is low and sell it when the price rises.
Types of trading:
Stock trading: Buying and selling company shares.
Forex trading: Trading currencies like USD, EUR, etc.
Crypto trading: Trading digital currencies like Bitcoin and Ethereum.
Futures trading: Making deals to buy or sell something in the future at a fixed price.
Key Concepts:
Market: Where trading happens (like stock exchanges or crypto platforms).
Profit/Loss: The goal is to earn more than you spend, but there’s always a risk of loss.
Technical analysis: Studying charts and price patterns to predict future movements.
Risk management: Using strategies to reduce losses.
